Green Panda Treehouse

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Photo Credit: The Consumerist

In case you missed yesterday’s post on my current credit card, I noticed that I didn’t have a low rate on it.

I called the credit card’s customer service line and spoke to a nice young man named Willie. I told him that I would like to have a lower rate on my card. He said that the actual credit card company had to handle that particular request. He politely gave me the number incase I got disconnected during the transfer.

After a few minutes of listening to a combination of elevator music and pitches to use the credit card I got to speak with a friendly woman named Maria. I again repeated my desire to lower my interest rate. She said that it is possible but they would have to run a credit check on me. I thought that was a bit strange. After 5 minutes of hold she said I qualified for a lower interest rate based on my score, which she told me.

What I found interesting is that she described the tiered system the company uses to determine the APR. I was close to the next jump, but not quite there. My current interest rate is now 15.99%, I know it’s not a big jump, but it’s something. If my score goes up a smidge, then I’ll get 11.99%, once I call in (she was really helpful, reminding to call in when it goes higher).

Thanks Randall for the motivation to call them!

How helpful was your credit card company? Did they tell you of their tiered system?

Photo Credit: liewcf

This site talks a lot about credit cards (here, here, and here for example). This is probably due my past experience with them. We go back. My first credit card ever was from Citibank when I turned 18. I thought it was so cool to have my own card, even it was only a $300 credit limit one. It had a “low APR” of 14.99%, which jumped to 25.99% in 6 months. Within a week I spent half of my limit.

Looking at some old receipts, it seemed like I spent it on a mixture of eating out, gifts for family (I felt good at the time about that), car repairs, and stupid(er) things. I didn’t use Bill Pay at the time and my checks had a habit of being late (due to procrastination and forgetfulness). When I called to pay over the phone so I wouldn’t be late, they charged $15-$20 for this “convenience.”

Now I have one card that I use on occasion, it’s a Visa from my local credit union. I got it when I turned 19 and I was thrilled when I got upgraded to Platinum about 2 ½ years ago. (Man, I’m so easily impressed.) Here’s the 411 on it:

• It has no rewards.
• Interest rate is 17.99%
• It has a $1000 Credit Limit.

Good news is that I pay it off ever month. I got burned with Citibank and didn’t want to go back to that. I want to keep this as this my longest current card. I’m wondering though am I missing out on a better deal. Should I go with a cash back rewards card? Should I increase my credit limit by a bit (I was offered this a few months back but declined)?

So I’m asking you for help. What’s in your wallet? Do you like the credit cards that you have? Would you switch to another if you could?

Photo Credit:  The Consumerist

Ramit from I Will Teach You To Be Rich posted this photo with comments on ridiculous credit card offers. I decided to look into it and the two credit cards Wal-Mart offers:

Here’s the fine print:

Benefits for the Wal-Mart® Discover® are only for cards issued by GE Money Bank. Cardholders may not be eligible for benefits offered by other Discover® Network Issuers. ¹Rewards apply only to net card purchases - not to balance transfers, cash advances, quick cash advances or fees and finance charges. The reward percentages will depend on your total spending during a calendar year and will be .25% on total purchases up to $1,500, .50% on total purchases from $1,500.01 to $3,000 and 1% on total purchases over $3,000. A rebate check will be issued each time you accrue $10 in rewards. All cash rewards are provided by GE Money Bank. See “How to Earn Cash Rewards” terms in your Credit Card Agreement for details. ²Available at participating gas stations. Not available in Puerto Rico. Look for the 3¢ Discount Sign at the pump to see if the gas station in your area is participating. 3¢ off per gallon offer applies to the regular street price. ³Get up to $100 cash back when you make a purchase with your Wal-Mart Discover® or get $60 cash back when you make a purchase with your Wal-Mart Credit Card at Wal-Mart owned registers in Wal-Mart stores. Limit of one per day. This cash advance will appear on your monthly billing statement like a purchase. Subject to credit approval.

Out of these two the Discover looks to be the “better deal” (air quotes because I’m being sarcastic).The interest rates according to them are:

As of 5/07, variable APRs for the cards offering the promotion are: 12.37%, 18.37%, 21.37%, or 22.37%. Variable delinquency APR is 27.49%. Variable Cure APRs are 21.37%; 22.37%. Minimum Finance Charge $1.00.

For less than $8 I can personalize my debt trap so I can feel better when looking at my bill! I like shopping at Wal-Mart (just did my monthly groceries today), but I’m not a fan of these credit cards and the incentives.